Jason Blais: From the Recruiting Front Lines

While delivering a presentation recently to a group of employers at the Androscoggin County Chamber of Commerce in Maine recently, it struck me how quickly the perception of labor market conditions have changed. Just two years ago, reports were regularly being cited that showed that by 2010 there would be a significant labor shortage in the US. In fact, according to one report, that shortage was to reach 10 million or more. That’s 1o million more jobs than people to fill them.

Now look where we are. I was told by a manager from the RI Dept of Labor and Training that a recent small job fair they hosted at their NetworkRI office attracted more than 600 seekers! According to another source, posted in a report on the SHRM website, the total number of online job postings actually declined in the 1st quarter year over year. This is the FIRST TIME EVER that online postings have declined year over year since they began tracking it.

So, with such an abrupt change of direction, it seems hard to find the reality amidst the propaganda. Were things as good as we thought 2 years ago? Are they as bad as we think now? Or were the labor conditions of both times dramatized for effect? Regardless of those questions, where are we now? I’ve seen the market shrinking in some sectors, but still growing in others. While I like the idea that a friend suggest to me recently, that if everyone decides not to participate in a recession, it can’t happen. So the best way to deal with an economic slowdown is simply not to participate. And this from someone with a Masters Degree in Economics.

So, does anyone have an answer to this question, or a good perspective to share? Is recruiting harder or easier right now. Are companies finding better candidates, or just more? Are passive job seekers less likely to leave the safety of their current situation, or are they feeling insecure and looking for a safety raft?

I won’t pretend to be the authority on this matter, or have any specialized or insider information that I’m sitting on. I’m a manager of field operations with an online labor market service. I am lucky enough to see the job markets first hand in New England, and get reports daily from the field in the Gulf Coast. Here’s what I’m seeing:

1. Most employers are not directly affected by the market, but expect to be soon. This is driving a slowdown in hiring because of the fear of the unknown. That is, “Business is still pretty good, but I’m not sure what it will be like in a few months, so I’m going to hold off on making and hiring decisions right now.”
2. Some employers, particularly those in Non-Profit sectors or who receive funding from the city, state, or federal government are feeling the impact. With reduced spending from consumers, and increasing inflation, tax revenues are down or flat in many areas, leading to cutbacks which affect these companies. Sad to see that those who need the most help are the first to feel cutbacks.
3. Unemployment rates are up virtually everywhere (aside from Arkansas)- but not by similar margins. For instance in RI the rate has increased 2 full percentage points in the last year or so, while in other states the rate is up only a couple tenths of a point.
4. Passive job seeker traffic does NOT appear to be up by any considerable margin. I think this means people are clinging to the safety of their current jobs, rather than jump to an unknown. This means companies must work harder to reduce the risk to potential candidates, and provide greater information about themselves.
5. Retailers are still hiring as necessary, keeping the same level of staffing, and still getting the same level and quantity of candidates as they were 2 years ago.
6. Manufacturing is alive and well in the gulf coast!
7. Employers who are making the extra effort to promote their opportunities in this climate are seeing improved results in hiring. When people are watching the newscasts and reading the papers and all they hear are negative projections about the economy, a company that stands up and says thing like We’re Growing! We’re Stable! We’re Not Laying Off or Downsizing! We’re a GREAT Place to Work, is easily able to grab people’s attention and build interest.

Overall, I feel that this should be a really tremendous time to be hiring. If you do it right, put in the extra effort to promote what makes you special, and take the time to be picky, you should be able to attract and hire some great A level talent. GOOD LUCK!

WHAT Does a Body Good?
You’re in Good Hands with WHICH COMPANY?
Like a Good Neighbor WHICH COMPANY is There?
WHAT are Forever?

Each of the examples above speaks to a simple and effective consumer brand. They have a distinct message that can be conveyed in very short statements, and through marketing, they have impacted the way we feel about their products.

When an employer can establish, communicate, and reinforce an effective employment brand, they will realize an increased stream of applicants better suited to their work environment, which in turn leads to an increase in employee retention. Later on, we’ll address some of the key factors that influence an employee’s decision to stay with an employer.

A brand can generally be defined as the sum of all characteristics and distinguishable features associated with a good or service – its unique personality. Brands are comprised of logos, images, slogans, and features of the good or service, along with all the supporting communication and promotion of these items. Simply put, a consumer brand should be built around the customer experience; therefore, an employment brand needs to be built around your employee’s experience.

Establishing an effective brand in the consumer market requires a company to understand what drives consumer behavior. Likewise, in order to establish an effective employment brand, a company must understand what drives employee behavior.

One essential and oft-ignored necessity of branding is identifying the current reality of your situation, not what you wish your situation was. If the branding is not absolutely true and consistent with your business today, it will not be effective and will not last. In fact, a false brand will have negative effects, and cause resentment among your current employees. For example, you can’t promote excellent opportunities for advancement if you don’t make a regular practice of promoting from within.

There are many ways to identify your current reality, so you’ll want to find out what works best for your company. Check out our future posts for more info on how to assess what makes your organization unique within your market.

It has been my distinct privilege for the past 3 years to manage a program
that relies heavily on outside contractors. I came to realize early on
that finding great 1099 contractors was a significantly different matter
from recruiting employees. There are many challenges facing this task
that may not come up in daily employee searches.

Here’s just a few that I encounter:

-How do you find trustworthy and reliable contractors with the specific
skill sets you need?

-When you’re working within a budget for your program, how do you
negotiate a fair contract, which attracts good candidates, but also keeps
you in your budget?

-How do you balance the equation in the previous question (what is the
weight of the budget vs. the quality of the contractor).

-What can you offer aside from the contract fee, i.e. why would they want
to choose to work with you with their limited time?

-How do you ensure quality control?

All these were issues I was first faced with more than 3 years ago, as I
started a program using outsourced marketing and training professionals to
support our company’s growth. What I’ve found is that with a little
creative ingenuity, and real human understanding, these issues aren’t
nearly as scary or difficult to solve as you’d think.

Here’s some very simple suggestions for anyone looking for 1099 contractors:

1. FIRST contact your friends and business associates (internal and
external), and let them know the skill set and requirements you’re looking
for. This is a great way to make a first pass at finding good, reliable
contractors.

2. Identify the skill sets you need, write them down, and think about what
kind of work that person is doing now. (could that skill set include a
high school teacher, an architect, a electrical engineer, an admissions
counselor?) Many great 1099 contractors aren’t working as 1099’s
currently. Market your needs to part timers or semi-retired professionals
in the fields you’ve identified. You’ll be AMAZED at the gems you can
find that have been looking for an opportunity to work independently, but
were afraid to take that first step.

3. Promote what makes your business or job special. Contractors are
people, after all, and people like to feel good about what they do.
Remember, while you can’t provide “traditional” benefits to contractors,
your business may provide a wealth of other non-traditional benefits that
will draw the right people to your business. Are you an industry leader?
Do you do good for the community? Are you in a cutting edge field? Are
there perks that are available? Don’t get down about not being able to
offer benes. 1099 contractors understand it, so don’t dwell. Instead,
take the unique approach of selling those non-traditional benefits.

4. Maintain quality control by maintaining communication with your
contractors. Stay in touch, and remember that you are the client. If you
aren’t satisfied with the quality of the work presented, don’t be shy. Be
confident and professional. Communicate your expectations, and give
contractors the opportunity to upgrade their work.

At JobsInTheUS, we are taking our web-based employment advertising resource from the net to the neighborhood. We’ve launched an initiative to host 4 career fairs in September- one each in Maine, New Hampshire, Rhode Island, and Alabama. In the spring, we’ll be hosting 7, including those 4 states, plus Mississippi, Louisiana, and Vermont. These fairs are growing, and we’re seeing participation from businesses from all sectors.

It’s been our belief, since our site started in 1998, that effective internet resources of any kind, must have strong and consistent local presence and support. This belief has led us to provide in-person educational seminars to local employers across New England and NY; sponsor and attend local trade association events, HR Conferences, and business expos; provide outreach training to job seekers at career centers and colleges; and execute one-on-one training with recruiters to help them better understand how to maximize their presence on the web.

I can honestly admit that as a job seeker more than 4 1/2 years ago, I relied exclusively on the internet to find my next career opportunity. Clearly, that’s how I found my way to JobsInTheUS. That being said, I still feel VERY strongly that in-person events such as career fairs are vitally important and beneficial to both employers and job seekers…

AM I CRAZY? AM I STUCK IN THE 90′S? AM I ON AN ISLAND?

Do employers really feel that meeting job seekers face to face is no longer important? As a hiring manager myself, I am always grateful to have a job fair to attend that coincides with hiring needs. Being able to shake a hand, make eye contact, and interact at that level for just 5 minutes is often more valuable than a 20 to 30 minute phone screen interview. And more often than not, interviews from career fair candidates reveal fewer surprises.

What are your thoughts? Are job fairs dead? If so… why?

Someone recently commented that this blog seemed to be aimed more at HR folks than staffing professionals, and as such, should have a different name. It was suggested that I use “HR Recruiting Front Lines” or something similar. This really got me thinking…

I’d love your input on this matter: should recruiting be separated from HR? I was at first shocked, then disappointed, then confused at why “staffing professionals” feel they have the right to monopolize the recruiting sector. In my opinion, the people with the BEST working knowledge surrounding hiring and recruiting are the HR Professionals within an organization. Not only are they intimately familiar with the current workforce and culture, but also they understand what EXACTLY is needed in potential hires. It is also up to them to onboard, train, retain, and appreciate the employees once they are hired.

Sorry to all the staffing professionals out there for this comment: Why do companies put the most critical piece of their company in the hands of third party vendors, and pay a high price to do so? Have I missed the boat? Has the identification and acquisition of talented employees somehow lost importance to companies and HR departments? What is it that has replaced it in the priority list?

These are just a few thoughts that were racing through my head. If you can help me understand the current employer/3rd party recruiter relationship better, PLEASE comment on this issue. I would very much appreciate your feedback.

Thanks for checking in, I’ll be posting again soon…